Q. Where can one find the new rule for correcting IRA excesses?
A. The actual rule comes from the statute under Internal Revenue Code Section 408(d)(4), which deals with correcting an excess timely (before the due date of the return). The key is that the IRS is now re-interpreting what it says. The new explanation in the Form 8606 instructions reveals this, and apparently when the new Publication 590-B is issued it will show the new interpretation as well.